Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
RedditMEX:RDDT -0.11%39 Cash Ratio is 8.25 as of Jun. 2026, which is 21% below its 10-year median of 10.44. GuruFocus rates MEX:RDDT with a GF Score™ of 39/100. The stock has 2 warning signs investors should review. Among 548 Interactive Media companies, Reddit ranks better than 94.16% on this metric.
The cash ratio is more conservative than other liquidity ratios, such as Quick Ratio and Current Ratio, because it only considers a company's most liquid resources. The numerator of cash ratio only considers Cash, Cash Equivalents and marketable securities. Other current assets, such as accounts receivable and inventories, are not included. The rationale is that these assets may require time to be transformed into cash, and the amount of money received is also uncertain.
The cash ratio shows a company’s ability to pay all current liabilities immediately without selling or liquidating other assets. Generally speaking, a higher cash ratio suggests the company has a stronger ability to cover its short-term debt. However, a high cash ratio could also indicate inefficient management: the company is inefficient in making full utilization of cash to invest protential profitable project. It may also suggest that the company is not confident about future profitability.
In general, the higher the cash ratio, the better the company's liquidity position.
Reddit Cash Ratio Related Terms
Reddit Cash Ratio Historical Data
* Premium members only.
The historical data trend for Reddit's Cash Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
MEX:RDDT vs BIDU, TME, PINS: Cash Ratio Comparison
For the Internet Content & Information subindustry, Reddit's Cash Ratio, along with its competitors' market caps and Cash Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Reddit Cash Ratio vs Interactive Media Industry
For the Interactive Media industry and Communication Services sector, Reddit's Cash Ratio distribution charts can be found below:
* The bar in red indicates where Reddit's Cash Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Reddit (MEX:RDDT) has a Cash Ratio of 8.25 as of Jun. 2026. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on Reddit and its competitors. This is 21% below median its historical median of 10.44. Over the past decade, Reddit's Cash Ratio has ranged from 7.29 to 20.98. According to the industry distribution chart, Reddit ranks #32 out of 548 companies in the Interactive Media industry, placing it in the top 5.8%.
Is Reddit's Cash Ratio too high?
Reddit's current Cash Ratio of 8.25 is 21% below median its 10-year median of 10.44. Over the past 10 years, this metric has ranged from a low of 7.29 to a high of 20.98. The Interactive Media industry median Cash Ratio is 1.31. Reddit's value of 8.25 is 532.2% above this industry median. Based on the distribution chart, Reddit ranks #32 out of 548 companies in the Interactive Media industry, which is in the top quartile — a strong position relative to peers. Overall, Reddit has a GF Score™ of 39/100, reflecting its overall financial health beyond just this single metric.
How does Reddit's Cash Ratio compare to BIDU and TME?
According to the Interactive Media industry distribution chart, Reddit ranks #32 out of 548 companies for Cash Ratio. This places Reddit in the top 6% of its industry — outperforming the majority of peers. The industry median Cash Ratio is 1.31. Reddit's value of 8.25 is 532.2% above this benchmark. Historically, Reddit's own Cash Ratio has ranged from 7.29 to 20.98 over the past decade. While the company's 10-year median is 10.44 vs. the industry median of 1.31, Reddit has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Ratio for an Interactive Media company?
The median Cash Ratio among Interactive Media companies is 1.31, based on 548 companies in the industry. Companies in the top quartile (top 25%) have a Cash Ratio significantly above this median, while those in the bottom quartile fall well below. However, Cash Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Reddit's current Cash Ratio of 8.25 is 532.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Ratio mean?
A high Cash Ratio can signal that a stock is expensive relative to its fundamentals. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on Reddit and its competitors. For the Interactive Media industry, the median Cash Ratio is 1.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Reddit's current Cash Ratio is 8.25, which is 21% below median its own 10-year median of 10.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Reddit stock overvalued right now?
Reddit (MEX:RDDT) has a current Cash Ratio of 8.25. The current Cash Ratio is 8.25, which is 21% below median its 10-year median of 10.44 and 532.2% above the Interactive Media industry median of 1.31. Reddit's overall GF Score™ is 39/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Ratio calculated?
Cash Ratio is calculated from a company's financial statements. For Reddit (MEX:RDDT), the current Cash Ratio is 8.25 as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Reddit is a social media platform where users can engage in conversations, explore, and create communities centered around their interests. Founded in 2005 by Steve Huffman and Alexis Ohanian, Reddit has evolved into a vast network of user-generated content organized into specialized forums known as "subreddits." The platform's unique community-driven model relies on volunteer moderators to manage content and maintain subreddit guidelines. Reddit generates revenue primarily through advertising and data licensing agreements.
39GF Score
Get the complete analysis for MEX:RDDT
Cash Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
MEX:RDDT has been successfully added to your 
